QE worth a try, but communication is vital

Despite the mixed evidence on the effectiveness of the first bout of quantitative easing back in 2009, the MPC is right to give the policy another try. It may nudge the pound lower and could have positive effects on confidence by showing that the Committee is aware of the pressures facing households and companies. However, to maximise those effects, it is vital that the Committee improves the communication surrounding QE in order to heighten the general level of understanding of its aims and purposes and address some of the remaining fears and misconceptions.